Customers tend to buy household appliances in Vietnam
According to the latest report of Statista (The market research company of Germany with a platform of more than 1 million Statista, 80 thousand topics, 22,5 thousand sources, and 170 different professions). The market picture of household appliances in Vietnam can reach 8,2 billion USD in 2023 (equivalent to nearly 200 thousand billion VND).
Statista shows that the market picture of household appliances in Vietnam has an annual growth rate reaching 5,15% (CAGR 2023-2028). After the pandemic of Covid-19, Vietnam people have a mentality to spend more time with family. They stay at home a lot more, so want to take care of their’s house. That’s exactly why the demand for upgrades and spending on household appliances will increase when the economy starts to rebounds.
Image of modern living space with household appliances
The change to intelligent technology and saving energy to use in households is the primary motivator behind the increase in the market of household appliances. This market is split into 2 parts:
- Key equipment consists of refrigerators, freezers, dishwashers, washing machines, stoves, microwaves, air conditioners, etc.
- Auxiliary equipment consists of a vacuum cleaner, hair dryer, iron, and toaster, …
Key equipment has a higher price but it is not a regular replacement. Meanwhile, auxiliary equipment has lower prices and short shelf life. Customers are ready for replacement with new versions, and advanced technology.
According to a report by the General Statistics Office, the average income per person per month in 2022 at current prices will reach VND 4.67 million, an increase of 11.1 percentage points compared to 2021. 2022 is the year marking the recovery of the economy and the situation of people's lives. Income increased steadily in both urban and rural areas. The average monthly income per person in 2022 in urban areas is nearly 5.95 million VND (up 10.4 percentage points compared to 2021) 1.54 times higher than the average income in rural areas of 3.86 million VND (up 10.8 percentage points compared to 2021).
Nguồn: Tổng Cục thống kê
The report gives an analysis on average in 2023, each Vietnamese household spends about 8.4 million VND on household appliances. With a population of nearly 100 million people and increasing consumer demand, Vietnam is considered a top attraction for brands in electronics and smart home appliances.
Speaking at the opening ceremony of the International Exhibition of Electronics and Smart Devices (IEAE 2023) taking place on July 19, 2023, Mr. To Ngoc Son, Deputy Director of the Asia-Africa Market Department, said that in the face of increasing demand for the electronic and smart device market, Chinese enterprises are planning to enter Vietnam and Southeast Asia in the near future.
Mr. To Ngoc Son - Deputy Director of the Asia-Africa Market Department (Ministry of Industry and Trade) spoke at the Opening Ceremony of the International Exhibition on Electronics and Household Appliances in Vietnam.
Bright prospects for Viettel Construction in entering the home appliance market
Technology and brands are things that the market is very interested in, but Vietnamese consumers also consider the appropriate price factor when choosing to buy products or equipment. This opens up a new opportunity for Viettel Construction in its strategy of expanding SKUs in the period of 2023-2025 with a completely new look.
Previously in November 2022, Viettel Construction launched the AIO double induction cooker to the market, which was well received by housewives. The addition of a group of products such as fan heaters, rice cookers, super-speed kettles, etc. will be a strategy to perfect the ecosystem of the Corporation in the coming time.
During the period from 2019 to now, the number of households where Viettel Construction provides products and services has reached millions of households, with a variety of brands and different price ranges, so capturing customer psychology and tastes has become the strength of the Corporation.